Novo Nordisk A/S Q2 Earnings Call Highlights

Novo Nordisk raised its 2026 outlook after a better-than-expected start to the year, reporting Q2 adjusted sales of DKK 78.5 billion and 7% growth at constant exchange rates. However, lower realized prices, manufacturing costs and currency effects reduced the adjusted gross margin to 78.2% from 82.7%. Oral Wegovy drove obesity-treatment momentum. The U.S. pill surpassed 5 million prescriptions and captured about 90% of the oral obesity-drug market, while roughly 80% of users were new to GLP-1 treatments; international obesity sales rose 37%. Competition and pipeline risks remain. Novo expects U.S. sales declines, greater pricing pressure, reduced Medicaid coverage and rising generic competition, while the ZEUS cardiovascular trial of ziltivekimab failed to reduce major adverse cardiovascular events; CagriSema remains on track for a potential U.S. launch in 2027.

Novo Nordisk A/ S NYSE: NVO reported second-quarter adjusted sales growth of 7% at constant exchange rates, supported by GLP-1 volume growth across its obesity and diabetes franchises, while lower realized prices and manufacturing-related costs weighed on margins. Chief Executive Officer Mike Doustdar said the company is serving more than 46 million people with obesity and diabetes and is treating nearly 5 million people with its obesity therapies, about 70% more than a year earlier. Novo Nordisk also raised its full-year outlook following what Chief Financial Officer Karsten Munk Knudsen described as a better-than-expected start to 2026.

The company highlighted continued momentum for its oral Wegovy treatment, which launched in the U.S. six months ago. Jamey Millar, executive vice president of U.S. Operations, said Wegovy pill had exceeded 5 million total prescriptions and reached weekly prescriptions of 267,000 as of July 17. Millar said the product has captured about 90% of the U.S. oral obesity-medication market despite competition entering in early April. Roughly 80% of patients using Wegovy pill are new to GLP-1 treatment, according to the company, suggesting the therapy is expanding the market rather than solely switching patients from existing products.

Most U.S. Wegovy pill prescriptions remain self-pay, as access to reimbursed obesity GLP-1 treatments remains limited. Novo Nordisk is also pursuing broader access through its Medicare Part D Bridge program for eligible patients age 65 and older. Millar said early participation has been encouraging, though the company is still assessing whether the initial uptake will be durable.

The broader branded obesity-medication market grew volumes by about 70% from the second quarter of 2025, Novo Nordisk said. The Wegovy franchise held an approximately 60% share of new branded obesity prescriptions in July. Outside the U.S., International Operations GLP-1 sales rose 13%, with obesity franchise sales increasing 37%. Emil Kongshøj Larsen, executive vice president of International Operations, said Novo Nordisk held about 58% of GLP-1 volume market share outside the U.S., though its share has declined in recent quarters. The company launched Wegovy pill in the U.K. and United Arab Emirates during the quarter. In the U.K., Novo Nordisk estimated that about 300,000 patients started treatment within three weeks of broad availability in early July. The company said this initial uptake raised its overall obesity market share in the country from about 30% before launch to 45%, based on July...